Category Archives: Financing

Using Debt Consolidation Mortgage Can Lengthen Life Of Loan

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Homeowners, hoping not to lose their home through foreclosure may want to eliminate a lot of other bills to make sure they have enough cash to make the home loan payments. One way might be with a debt consolidation mortgage loan, where in the other loans are include in the mortgage taken out on the property. There are two basic downfalls to this plan, but it can still provide a significant financial benefit to outweigh the additional costs of the loan.

First, the difference between the value of the property and the amount for which it is purchased has to provide enough equity to allow for the inclusion on the additional amount of the debt consolidation mortgage. It is a similar plan to taking out a home equity loan, except the equity is available at the time the house is purchased. This may be more possible with a property that is purchased through foreclosure or through a government tax auction, where the price of the home is considerably less than the amount of the mortgage.

When you take out a debt consolidation mortgage, all other bills that were included will be paid along with the mortgage payments meaning, any credit card purchases for instance, can take as long as the life of the mortgage to pay off.

Being Stingy With Credit Can Help Get You Through

If you qualify for a debt consolidation mortgage, that includes several other pre-existing debts, make sure you do not go overboard with extra loans and credit cards. You will need to remember that the majority of your home equity is already spoken for in terms o the debt consolidation mortgage, and it can take a few more years before additional funding through an equity loan is available.

While all the other creditors will have been paid at the time of the mortgage, it is advised to let the lender send the payment to the other creditors, making sure they received them in a timely manner and the proper notation has been made on your credit report. This can insure that the purpose of the debt consolidation mortgage is serving its purpose.

Remember, the amount of money added to the debt consolidation mortgage from your credit cards can take up to 30 years to be paid and, if those cards were used for several small purchases, you could be paying for that fast-food meal for three decades.

Zero Down Real Estate Investing-Does It Make Sense?

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Updated December 12, 2005

We discover through trial and error. Often its as simple as attempting something we haven’t tried before and results begin to follow.

Real estate seems like a lofty proposition for many people but there is alot of noise coming from people that are involved in Real Estate and it attracts us. Zero down real estate investing is a simple concept. It means manufacturing deals that require that you need not put the large obligatory escrow deposit to get the right to control property.

The reason why you would want that is simple. Zero down is useless if your utility is to buy the house and live in it and own it. Thats not the point of Zero Down. If you want to buy the Real Estate for your own personal use, then Zero Down is not going to help you. However, if your utility is to make some nice money so you CAN eventually own your own home. Then Zero down is the perfect vehicle and the most direct way for you to accomplish that.

There are numerous ways to structure a deal legally and fairly while making the deal light on escrow deposit. But there’s something you need to know. Because learning how to do Zero Down is not the obstacle. That can easily be accomplish by buying a good book or online course on the topic. It is easily learned. The information is abundant.

No, thats not the issue, what you must understand again is your utility. You must realize if Zero Down Real Estate is what you want to get involved in, is that you are doing it to make money. Literally, largish sums of money. Your involvement with the property itself should have no emotional attachment at all. The lines should be drawn clear in the sand.’

To know this is to realize something. You must find a property that has excess intrinsic value in it so that it can be rapidly be re-sold for a fair profit. That is the entire point of Zero Down Real Estate.

When we say excess intrinsic value, property investors refer to a deal thats going cheap (for whatever reasons)

I know this sounds obvious, but theres more to it. Notice I didn’t just say find a cheap house? I wouldn’t use those words because its completely misleading. Intrinsic value desrcibes a price that is genuine. It has been researched and more then a few people with knowledge would agree is that this is the intrinsic value of the subject property.

Its the REAL price, the REAL value without any guessing or wishing or emotional component to it. Once you can establish the intrinsic value of properties, you can then compare the actual price thats being asked and decide if you would like to move on the deal. If it has “excess intrinsic value” then you would do just that.

Its this search for excess intrinsic value that is the main work for people who would like to do Zero Down deals. Because its that discovered excess intrinsic value that was worked for and found. Then you can use the Zero down technique of your choice to gain control of the deal and close.

To your health and rapid success.

Jack Reynolds is Operations manager for http://www.opportunity-investor.com Jack is a professional investor who trades in real estate, Art, Precious Stones and Sea going Vessels. He has followed Martin Thomas his mentor and CEO of the company for over 5 years and has managed to accumulate a large fortune during this time.

Article Source: http://EzineArticles.com/?expert=Jack_Reynolds

How to Know if You’re Buying the Best House for You

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Updated December 1, 2005

Here is an article by a friend about the home buying process. Not only can the novice real estate investor benefit from this article, but for a more experienced investor it allows the opportunity to take a step back and look at this process from the other end of the table to gain some perspective…

Buying a house marks a new beginning. How do you know that you’re getting your dream house and not straining your credit limit? Read through the points below to get the answer.

Get yourself a “pre-approved” certificate from a lender.

This certificate gives the seller the assurance that you have enough money to buy their property. Securing a Pre-Approved certificate could take from a few days to a few weeks depending on the status of the request. But it’s worth the trouble of waiting since it increases the chances of you are getting the best deal in the market.

Consider selling your home first.

Selling a property (if you have one) before acquiring a new one would also help. It is because paying for the property upfront could get you a great discount. It is because some property owners think about either selling to a prospective buyer who would buy the property at once, or waiting for a buyer to sell his present property before buying the new one. And in most cases, the seller would not pass up on the chance of having their property bought up at once.

Know what you want.

It all comes down to knowing what you want. Sticking to that is the key to successfully acquiring your dream house. Upon seeing different houses, you will see a whole new picture of everything. But do any of them satisfy what you want in the first place?

At the onset, you may be in awe of the beautifully manicured lawns of a certain estate, but attached to it is the responsibility of maintenance. More so if you’re not really into gardening. It would only cost you more to pay for someone to look after it or suffer the sight of a brown drying lawn. Stick to the basics and what you originally planned on buying.

Don’t be misled by advertisements.

Advertisements only contain positive things about a property. That is why it’s called an advertisement. Many things are left out in putting up an ad. It would not say that crime rates have been high recently or that the neighborhood is plagued by gangsters.

Check out the house itself. Does it suit your needs? Is it well ventilated? Is the house well-built? It will be your haven for a number of years so be sure that it is comfortable to the occupant.

Consider the resale value of the estate.

Things change. Most likely there will come a time that you will have to sell your home. Know how long it will take to sell the estate in the future. Knowing how long the “for sale” sign has already been sitting in the front yard would give you enough knowledge about the market pacing.

Armed with this knowledge of home buying, you should be well on your way to finding the perfect house and making it your home.